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Nine CEO Hugh Marks admitted the error to James Chessell, the group executive editor in charge of the former Fairfax newspapers

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Face of Nation : Nine CEO Hugh Marks admitted the error to James Chessell, the group executive editor in charge of the former Fairfax newspapers, following the $10,000-a-head event in Sydney which has been condemned by journalists for potentially compromising their independence. Mr Chessell said in an email to staff he had raised the concerns with Mr Marks.

“He has responded by telling me it was a mistake to host the function,” Mr Chessell wrote. Mr Chessell said perception mattered when it came to newspapers’ relationship with “subscribers, contacts and others who rely on our journalism”.

The main motivation for the event was to engage with the government on issues of importance to the newsrooms – such as press freedom and the competition watchdog’s inquiry into digital platforms, Mr Chessell said .

Prime Minister Scott Morrison said he didn’t know who came up with the idea for Monday night’s fundraiser, arguing it wasn’t for him to comment on whether there was a problem with the event. “They were happy to host an event, and I attended the event,” he told 3AW Radio on Wednesday. Cabinet minister Alan Tudge, who also attended, said the hosting arrangements were a matter for Nine.

“They hosted the venue only, and obviously all the guests there were from right across Australia who were willing to come and support the Liberal Party,” Mr Tudge told. Nine executives also attended a federal Labor Party event this week.

Shadow treasurer Jim Chalmers confirmed to AAP he had attended the Labor event. “Yes I did. Governments and parties of all persuasions attend fundraisers from time to time,” he said. “And so long as that is properly disclosed in the usual way then that is entirely normal.”

Mr Morrison remembers Nine’s boss Hugh Marks as being the company’s sole representative at the Liberals event. Former federal Liberal treasurer Peter Costello is chairman of Nine.

Nine took over Fairfax Media in a $3 billion deal last year, encompassing the Sydney Morning Herald, the Age and the Australian Financial Review. The newspaper journalists have written to Nine management, saying Monday’s fundraiser could only serve to make their jobs more difficult.

“We strongly object to our reputation for independent journalism being compromised by the hosting of party political fundraisers,” the letter to Mr Marks and managing director Chris Janz said.